ParaZero Technologies Ltd 6-K, filed Sep 3, 2024
ParaZero Technologies Ltd. (PRZO)
About this 6-K
ParaZero Technologies Ltd filed this 6-K on September 3, 2024.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of
Commission file number:
(Translation of registrant’s name into English)
1 Hatachana Street
Kfar Saba, 4453001, Israel
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
CONTENTS
This Report of Foreign Private Issuer on Form 6-K consists of the Registrant’s (i) Condensed Interim Financial Statements as of June 30, 2024, which is attached hereto as Exhibit 99.1; (ii) Management’s Discussion and Analysis of Financial Condition and Results of Operations for the six months ended June 30, 2024, which is attached hereto as Exhibit 99.2; and (iii) press release issued on September 3, 2024, titled “ParaZero Announces First Half of 2024 Financial Results”.
This Form 6-K, including Exhibit 99.1, Exhibit 99.2 and the first paragraph and the sections entitled “Key Highlights of ParaZero’s Achievements in the First Half of 2024 & Recent Updates”, “First Half 2024 Financial Highlights” and “Forward-Looking Statements” in the press release attached as Exhibit 99.3 attached hereto, is incorporated by reference into the Registrant’s Registration Statements on Form S-8 (File No. 333-278268) and Form F-3 (File No. 333-281443), filed with the Securities and Exchange Commission, to be a part thereof from the date on which this report is submitted, to the extent not superseded by documents or reports subsequently filed or furnished.
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EXHIBIT INDEX
| Exhibit No. | ||
| 99.1 | ParaZero Technologies Ltd.’s Interim Condensed Financial Statements as of June 30, 2024. | |
| 99.2 | ParaZero Technologies Ltd.’s Management’s Discussion and Analysis of Financial Condition and Results of Operations for the six months ended June 30, 2024. | |
| 99.3 | Press release titled: “ParaZero Announces First Half of 2024 Financial Results” | |
| 101.INS | Inline XBRL Instance Document | |
| 101.SCH | Inline XBRL Taxonomy Extension Schema Document | |
| 101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |
| 101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | |
| 101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |
| 101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
2
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| ParaZero Technologies Ltd. | |||
| Date: September 3, 2024 | By: | /s/ Boaz Shetzer | |
| Name: | Boaz Shetzer | ||
| Title: | Chief Executive Officer | ||
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Exhibit 99.1
PARAZERO TECHNOLOGIES LTD.
CONDENSED INTERIM FINANCIAL STATEMENTS
AS OF JUNE 30, 2024
(UNAUDITED)
INDEX
- - - - - - - - - - - -
U.S. dollars
| June 30, | December 31, | |||||||||
| Note | 2024 | 2023 | ||||||||
| ASSETS | ||||||||||
| CURRENT ASSETS: | ||||||||||
| Cash and cash equivalents | ||||||||||
| Trade receivables | ||||||||||
| Other current assets | 4 | |||||||||
| Inventories | ||||||||||
| TOTAL CURRENT ASSETS | ||||||||||
| NON-CURRENT ASSETS: | ||||||||||
| Restricted deposit | ||||||||||
| Operating lease right-of-use asset | 5 | |||||||||
| Property and equipment, net | ||||||||||
| TOTAL NON-CURRENT ASSETS | ||||||||||
| TOTAL ASSETS | ||||||||||
The accompanying notes are an integral part of these condensed interim financial statements.
2
PARAZERO TECHNOLOGIES LTD.
CONDENSED INTERIM BALANCE SHEETS (Unaudited)
U.S. dollars
| June 30, | December 31, | |||||||||
| Note | 2024 | 2023 | ||||||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||
| CURRENT LIABILITIES: | ||||||||||
| Trade payables | ||||||||||
| Operating lease liabilities | ||||||||||
| Other current liabilities | 6 | |||||||||
| TOTAL CURRENT LIABILITIES | ||||||||||
| NON-CURRENT LIABILITIES: | ||||||||||
| Operating lease liabilities, net of current portion | 5 | |||||||||
| Derivative warrant liabilities | 7 | |||||||||
| TOTAL NON-CURRENT LIABILITIES | ||||||||||
| COMMITMENTS AND CONTINGENCIES | 9 | |||||||||
| SHAREHOLDERS’ DEFICIT | ||||||||||
| Ordinary shares, NIS | ||||||||||
| Additional paid-in capital | ||||||||||
| Accumulated losses | ( | ) | ( | ) | ||||||
| TOTAL SHAREHOLDERS’ EQUITY | ||||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||
The accompanying notes are an integral part of these condensed interim financial statements.
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PARAZERO TECHNOLOGIES LTD.
CONDENSED INTERIM STATEMENTS OF COMPREHENSIVE LOSS (Unaudited)
U.S. dollars
| Six months ended June 30, | Six months ended June 30, | |||||||
| 2024 | 2023 | |||||||
| U.S. dollars | ||||||||
| Sales | ||||||||
| Cost of Sales | ||||||||
| GROSS PROFIT | ||||||||
| Research and development expenses | ||||||||
| Selling and marketing expenses | ||||||||
| General and administrative expenses | ||||||||
| Initial public offering expenses | ||||||||
| OPERATING LOSS | ||||||||
| Change in fair value of derivative warrant liabilities | ( | ) | - | |||||
| Other finance expenses (income), net | ( | ) | ||||||
| NET LOSS AND COMPREHENSIVE LOSS | ||||||||
The accompanying notes are an integral part of these condensed interim financial statements.
4
PARAZERO TECHNOLOGIES LTD.
CONDENSED INTERIM STATEMENTS OF CHANGES IN SHAREHOLDERS’ DEFICIT (Unaudited)
U.S. dollars
| Ordinary shares | Additional | |||||||||||||||||||
| Number | paid-in | Accumulated | ||||||||||||||||||
| of shares | Amount | capital | losses | Total | ||||||||||||||||
| U.S. dollars | U.S. dollars | |||||||||||||||||||
| BALANCE AS OF DECEMBER 31, 2022 | ( | ) | ( | ) | ||||||||||||||||
| CHANGES DURING THE SIX MONTHS ENDED JUNE 30, 2023: | ||||||||||||||||||||
| Stock based compensation | - | |||||||||||||||||||
| Benefit to the Company by an equity holder with respect to funding transaction | - | |||||||||||||||||||
| Comprehensive loss | - | ( | ) | ( | ) | |||||||||||||||
| BALANCE AS OF JUNE 30, 2023 | ( | ) | ( | ) | ||||||||||||||||
| BALANCE AS OF DECEMBER 31, 2023 | ( | ) | ||||||||||||||||||
| CHANGES DURING SIX MONTHS ENDED JUNE 30, 2024: | ||||||||||||||||||||
| Stock based compensation | - | |||||||||||||||||||
| Exercise of pre-funded warrants and consultant warrants (Note 7) | ( | ) | ||||||||||||||||||
| Comprehensive loss | - | ( | ) | ( | ) | |||||||||||||||
| BALANCE AS OF JUNE 30, 2024 | ( | ) | ||||||||||||||||||
The accompanying notes are an integral part of these condensed interim financial statements.
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PARAZERO TECHNOLOGIES LTD.
CONDENSED INTERIM STATEMENTS OF CASH FLOWS (Unaudited)
U.S. dollars
| Six months ended June 30, | ||||||||
| 2024 | 2023 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net loss | ( | ) | ( | ) | ||||
| Adjustments required to reconcile net loss to net cash used in operating activities - | ||||||||
| Depreciation | ||||||||
| Stock based compensation | ||||||||
| Interest expenses with respect to funding from related party | ||||||||
| Derivative warrant liabilities | ( | ) | ||||||
| Loss from exchange differences on cash and cash equivalents | ||||||||
| Finance expenses | ( | ) | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Trade receivables | ( | ) | ||||||
| Other current assets | ( | ) | ||||||
| Deferred initial public offering cost | ( | ) | ||||||
| Inventories | ( | ) | ( | ) | ||||
| Operating lease right-of use asset | ( | ) | ||||||
| Trade payables | ||||||||
| Operating lease liabilities | ( | ) | ||||||
| Other current liabilities | ( | ) | ||||||
| Net cash used in operating activities | ( | ) | ( | ) | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Investment in restricted deposit | ( | ) | ||||||
| Purchase of property and equipment | ( | ) | ( | ) | ||||
| Net cash used in investing activities | ( | ) | ( | ) | ||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Receipt of loan from related party | ||||||||
| Net cash from financing activities | ||||||||
| Effect of exchange rate changes on cash, cash equivalents | ( | ) | ||||||
| Net decrease in cash and cash equivalents | ( | ) | ( | ) | ||||
| Cash and cash equivalents at beginning of period | ||||||||
| Cash and cash equivalents at end of period | ||||||||
| SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||
| Benefit to the Company by an equity holder with respect to funding transactions | ||||||||
| Right-of-use assets obtained in exchange for operating lease liabilities | ||||||||
| Stock based compensation included as issuance costs | ||||||||
The accompanying notes are an integral part of these condensed interim financial statements.
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PARAZERO TECHNOLOGIES LTD.
Note 1 – General
| 1. | PARAZERO TECHNOLOGIES LTD. - (the “Company”) was incorporated in Israel on June 30, 2013. The Company’s address is 1 HaTahana, Kfar Saba, 4453001, Israel. The Company is an aerospace company that is focused on drone safety systems and engaged in the business of designing, developing, and providing what it believes are best-in-class autonomous parachute safety systems for commercial drones, also known as unmanned aerial systems, or UAS. The company was founded by a group of aviation professionals, together with veteran drone operators, to address the drone industry’s safety challenges. The Company’s goal is to enable the drone industry to realize its greatest potential through increasing safety and mitigating operational risk. |
| 2. | The Company is in its commercialization stage and has not generated significant revenues at this stage. The Company has incurred recurring
losses and negative cash flows from operating activities since inception, such that as of June 30, 2024, the Company had accumulated losses
of $ |
On July 31, 2023, the Company raised
gross proceeds of $
Management expects that it will require additional financing in the future to fund its operations until it shall have generated significant revenues. Based on the Company’s current operating plan, the Company’s management currently estimates that its cash position will support its current operations as currently conducted for more than 12 months from the date of issuance of these interim financial statements.
Note 2 – Basis for preparation
The Company’s accompanying unaudited condensed interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnote disclosures required by U.S. GAAP for complete financial statements.
The condensed interim financial statements reflect all adjustments considered necessary for a fair presentation of the results of operations and financial position for the interim periods presented. All such adjustments are of a normal recurring nature.
These unaudited interim financial statements should be read in conjunction with the financial statements of the Company for the year ended December 31, 2023 and notes thereto that are included in the Company’s Form 20-F, filed with the SEC on March 21, 2024. The preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The results of operations for the six months ended June 30, 2024 are not necessarily indicative of the results to be expected for any other interim period or for the year ending December 31, 2024.
Note 3 – Significant Accounting Policies, Accounting Pronouncements Adopted and Recently Issued Accounting Standards
| A. | Significant Accounting Policies |
The significant accounting policies followed in the preparation of these unaudited interim condensed consolidated financial statements are identical to those applied in the preparation of the latest annual financial statements, except for the following:
Restricted deposits
The restricted deposits consist of funds that are contractually restricted as to usage or withdrawal due to guarantees made with regards to lease payments for the Company’s office space.
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PARAZERO TECHNOLOGIES LTD.
Note 4 – Other Current Assets:
| June 30 | December 31 | |||||||
| 2024 | 2023 | |||||||
| Governmental institutions | ||||||||
| Prepaid expenses | ||||||||
| Deferred contract costs | ||||||||
| Other current assets | ||||||||
Note 5 – Leases:
The Company had a two-year lease agreement
for its office in Kiryat Ono, Israel that began in 2020, and was renewed in 2022 for an additional
On February 1, 2024, the Company entered
into a three-year lease agreement commencing on March 15, 2024 (the “Lease Agreement”), to move its corporate headquarters,
including the offices and research and development facility, to 1 HaTahana Street, Menivim Tower, Kfar Saba 4453001 Israel where occupies
approximately
The monthly aggregate rental payment
is NIS
| Six months ended | ||||||||
| June 30, | ||||||||
| 2024 | 2023 | |||||||
| Lease expense | $ | $ | ||||||
| Six months ended | ||||||||
| June 30, | ||||||||
| 2024 | 2023 | |||||||
| Weighted-average remaining lease term — operating leases (years) | ||||||||
| Weighted-average discount rate — operating leases (%) | ||||||||
| June 30, 2024 | ||||
| 2024 | $ | |||
| 2025 | $ | |||
| 2026 | $ | |||
| 2027 | $ | |||
| Total undiscounted cash flows | $ | |||
| Less: imputed interest | $ | |||
| Operaעting lease liabilities | $ | |||
8
PARAZERO TECHNOLOGIES LTD.
Note 6 – Other Current Liabilities:
| June 30 | December 31 | |||||||
| 2024 | 2023 | |||||||
| Employees, salaries and related liabilities | ||||||||
| Advances from customers | ||||||||
| Warranty provision | ||||||||
| Accrued expenses | ||||||||
| Other expenses | ||||||||
Note 7 – Derivatives Warrant Liabilities:
Private Placement Warrants
The Company issued pre-funded
warrants, series B warrants and series A warrants as part of the PIPE. During January 2024, certain warrant holders exercised the
remaining
| June 30, 2024 | December 31, 2023 | |||||||
| Expected volatility (%) | ||||||||
| Risk-free interest rate (%) | ||||||||
| Expected Life (years) | ||||||||
| Value per share | $ | $ | ||||||
| Exercise price (U.S. dollars per share) | $ | $ | ||||||
| Balance as of December 31, 2023 | ||||
| Change in fair value | ( | ) | ||
| Balance as of June 30, 2024 |
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PARAZERO TECHNOLOGIES LTD.
Note 8 – Shareholders’ Equity:
| A. | Equity Warrants |
During April 2024, certain consultants exercised
| Issuance date | In connection with | No. of warrants issued | Exercise price per ordinary share | No. of Ordinary shares underlying warrants | ||||||||||
| 2022 | $ | |||||||||||||
| 2023 | $ | |||||||||||||
| 2023 | $ | |||||||||||||
| * | Warrants issued as part of the Delta Drone transaction with the Former Parent Company and upon the IPO completion. |
| B. | Stock-based Compensation |
The Company’s Global Share Incentive Plan (2022) (the “Plan”) was adopted by Company’s Board of Directors on March 28, 2022. The Plan provides for the grant of options to purchase Ordinary Shares, restricted share units representing Ordinary Shares and Ordinary Shares (collectively, the “Awards”) to the Company’s employees, officers, directors, advisors and consultants in order to promote a close identity of interests between those individuals and us.
As
of June 30, 2024, the total number of Ordinary Shares reserved for issuance under the Plan is
| Number of Options | Weighted Average Exercise Price | |||||||
| Options outstanding as of December 31, 2023 | $ | |||||||
| Granted | $ | |||||||
| Forfeited | $ | |||||||
| Options outstanding as of June 30, 2024 | $ | |||||||
| Options exercisable as of June 30, 2024 | $ | |||||||
As of June 30, 2024, the weighted-average
remaining contractual life of the outstanding options were
| 2023 | ||||
| Risk-free interest rate | ||||
| Expected option term (years) | ||||
| Expected share price volatility | ||||
| Dividend yield | ||||
As of June 30, 2024, the Company
had
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PARAZERO TECHNOLOGIES LTD.
Note 9 – Commitments and Contingencies
| A. | Israel Innovation Authority |
The Company has received royalty-bearing
grants from the Israel Innovation Authority (the “IIA”), for approved research and development projects. The programs include
grants for: wages, materials, subcontractors and miscellaneous. The Company is required to pay royalties at the rate of
As of December 31, 2019, the research
and development projects funded by the IIA were completed. The total amount of the IIA grant received was $
As of June 30, 2024, the maximum
obligation with respect to the grants received from the IIA, including accrued interest, contingent upon entitled future sales, is $
When a company develops know-how, technology or products using IIA grants, the terms of these grants and the Research Law restrict the transfer of such know-how, and the transfer of manufacturing or manufacturing rights of such products, technologies or know-how outside of Israel, without the prior approval of the IIA. Therefore, the discretionary approval of an IIA committee would be required for any transfer to third parties inside or outside of Israel of know-how or manufacturing or manufacturing rights related to those aspects of such technologies. There is no certainty that the Company would obtain such approvals.
| B. | Liens |
The Company’s long-term restricted
deposits held in a bank in the amount of NIS
Note 10 – Subsequent Events
| A. | On July 24, 2024, the Company’s shareholders meeting
resolved to approve a reverse share split of the Company’s issued and outstanding ordinary shares NIS |
| B. | On July 30, 2024, the Company’s Board of Directors
approved the grant of an aggregate of |
The exercise
price of the options is $
All the other terms of the grant of the options shall be as set forth in the Company’s Global Share Incentive Plan (2022) (the “Plan”).
Pursuant to the above grant, the Company
have outstanding options to purchase an aggregate of
| C. | On August 9, 2024, pursuant
the approval of the Company’s board of directors, the Company filed a Shelf Registration Statement on Form F-3 (the “Form
F-3”) with the Securities and Exchange Commission (the “SEC”) for the registration under the Securities Act of 1933,
as amended (the “Act”), of such indeterminate number of ordinary shares, warrants to purchase ordinary shares, and units,
in one or more offerings for an aggregate initial offering price of up to $ |
11
Exhibit 99.2
PARAZERO TECHNOLOGIES LTD.’S MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2024
The following discussion and analysis should be read in conjunction with our consolidated financial statements and related notes included elsewhere in this Form 6-K and our Annual Report on Form 20-F for the year ended December 31, 2023 (the “Annual Report”).
Unless the context requires otherwise, the terms “ParaZero,” “we,” “us,” “our,” “the Company,” and similar designations refer to ParaZero Technologies Ltd. References to “ordinary shares”, “warrants” and “share capital” refer to the ordinary shares, warrants and share capital, respectively, of ParaZero.
References to “U.S. dollars” and “$” are to currency of the United States of America. References to “ordinary shares” are to our ordinary shares, par value NIS 0.02 per share. Our financial statements are prepared and presented in accordance with U.S. GAAP. Our historical results do not necessarily indicate our expected results for any future periods.
Forward Looking Statements
The following discussion contains “forward-looking statements,” including statements regarding expectations, beliefs, intentions or strategies for the future. These statements may identify important factors which could cause our actual results to differ materially from those indicated by the forward-looking statements. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Factors that could cause our actual results to differ materially from those expressed or implied in such forward-looking statements include, but are not limited to:
| ● | our lack of operating history; |
| ● | our current and future capital requirements and our belief that our existing cash will be sufficient to fund our operations for more than one year from the date that the financial statements are issued; |
| ● | our ability to obtain necessary regulatory approvals from the U.S. Federal Aviation Administration or other governmental agencies, or limitations put on the use of small unmanned aerial systems (“UASs”) in response to public privacy concerns; |
| ● | our ability to manufacture, market and sell our products and to generate revenues; |
| ● | our ability to maintain our relationships with key partners and grow relationships with new partners; |
| ● | our ability to maintain or protect the validity of our U.S. and other patents and other intellectual property; |
| ● | our ability to launch and penetrate markets in new locations and new market segments; |
| ● | our ability to retain key executive members and hire additional personnel; |
| ● | our ability to maintain and expand intellectual property rights; |
| ● | interpretations of current laws and the passages of future laws; |
| ● | our ability to achieve greater regulatory compliance needed in existing and new markets; |
| ● | the overall demand for drone safety systems; |
| ● | our ability to achieve key performance milestones in our planned operational testing; |
| ● | our ability to establish adequate sales, marketing and distribution channels; |
| ● | acceptance of our business model by investors |
| ● | our ability to maintain the listing of our ordinary shares on The Nasdaq Capital Market |
| ● | security, political and economic instability in the Middle East that could harm our business, including due to the current war between Israel and Hamas; and |
| ● | those factors referred to under the headings “Risk Factors” and “Operating and Financial Review and Prospects” in our Annual Report, as well as in our Annual Report generally. |
The preceding list is not intended to be an exhaustive list of any forward-looking statements and are based on our beliefs, assumptions and expectations of future performance, taking into account the information available to us. These statements are only predictions based upon our current expectations and projections about future events. There are important factors that could cause our actual results to differ materially from the results expressed or implied by the forward-looking statements.
The forward-looking statements contained herein are based upon information available to our management as of the date hereof and, while we believe such information forms a reasonable basis for such statements, such information may be limited or incomplete, and our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all potentially available relevant information. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. Except as required by law, we undertake no obligation to update publicly any forward- looking statements after the date hereof to conform these statements to actual results or to changes in our expectations.
Risk Factors
Except as set forth below, there are no material changes to the risk factors previously disclosed in our Annual Report on Form 20-F for the year ended December 31, 2023.
If we fail to comply with the continued listing requirements of the Nasdaq Capital Market, our ordinary shares may be delisted and the price of our ordinary shares and our ability to access the capital markets could be negatively impacted
Our ordinary shares are listed on the Nasdaq Capital Market. As such, we are required to meet the continued listing requirements of the Nasdaq Capital Market and other Nasdaq rules, including those regarding director independence and independent committee requirements, minimum shareholders’ equity, minimum share price and certain other corporate governance requirements. In particular, we are required to maintain a minimum bid price for our listed ordinary shares of $1.00 per share.
On February 8, 2024, we were notified in a letter, or the Notification Letter, by the Nasdaq Listing Qualifications that we are not in compliance with the minimum bid price requirements set forth in Nasdaq Listing Rule 5550(a)(2), or the Rule, for continued listing on The Nasdaq Capital Market. The Notification Letter provided that we had 180 calendar days, or until August 6, 2024, to regain compliance with the Rule. To regain compliance, the bid price of our ordinary shares must have a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days. Since we did not regain compliance by August 6, 2024, we requested and received from The Nasdaq Capital Market an additional 180 calendar days or until February 3, 2025 to comply with the minimum bid price. If we fail to regain compliance during the second compliance period, then Nasdaq will notify us of its determination to delist our ordinary shares, at which point we will have an opportunity to appeal the delisting determination to a Hearings Panel. No assurance can be given that we will be able to regain compliance with the Rule. If we do not meet these or other continued listing requirements, our ordinary shares could be delisted. Delisting of our ordinary shares from the Nasdaq Capital Market would cause us to pursue eligibility for trading on other markets or exchanges, or on the pink sheets. In such case, our shareholders’ ability to trade, or obtain quotations of the market value of, our ordinary shares would be severely limited because of lower trading volumes and transaction delays. These factors could contribute to lower prices and larger spreads in the bid and ask prices for our securities. There can be no assurance that our ordinary shares, if delisted from the Nasdaq Capital Market in the future, would be listed on a national securities exchange, a national quotation service, the Over-The-Counter Markets or the pink sheets. Delisting from the Nasdaq Capital Market, or even the issuance of a notice of potential delisting, would also result in negative publicity, make it more difficult for us to raise additional capital, adversely affect the market liquidity of our ordinary shares, reduce security analysts’ coverage of us and diminish investor, supplier and employee confidence. Additionally, the threat of delisting or a delisting of our ordinary shares from the Nasdaq Capital Market, could reduce the number of investors willing to hold or acquire our ordinary shares, thereby further restricting our ability to obtain equity financing, and it could reduce our ability to retain, attract and motivate our directors, officers and employees. In addition, as a consequence of any such delisting, our share price could be negatively affected and our shareholders would likely find it more difficult to sell, or to obtain accurate quotations as to the prices of, our ordinary shares.
Operating Results.
The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our audited financial statements and the related notes included in our Final Prospectus, as well as our unaudited condensed financial statements and the related notes thereto for the six months ended June 30, 2024, included elsewhere in this Report on Form 6-K. The discussion below contains forward-looking statements that are based upon our current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to inaccurate assumptions and known or unknown risks and uncertainties.
The following financial data in this narrative are expressed in U.S. dollars, except as otherwise noted.
Overview
We are an aerospace company that is focused on drone safety systems and engaged in the business of designing, developing, and providing what we believe are best-in-class autonomous parachute safety systems for commercial drones, also known as unmanned aerial systems, or UAS. Our company was founded by a group of aviation professionals, together with veteran drone operators, to address the drone industry’s safety challenges. Our goal is to enable the drone industry to realize its greatest potential through increasing safety and mitigating operational risk.
2
Drones are either navigated manually with a remote control or operated autonomously by software. Drones have long seen widespread use in the military for surveillance and long-range attack purposes and have also been used for weather monitoring and search and rescue operations. As developments in the mobile industry have enabled manufacturers to decrease the size, weight, and cost of batteries and cameras, the drone industry has expanded beyond its largely military-based origins and scale for commercial and civil government use cases. Increased automation of drones and a global concern for sustainability have also driven demand. Drones have become an integral workflow tool among a myriad of global industries and have a wide array of commercial applications, such as photography, agriculture, package delivery, first response/public safety, surveying, construction site monitoring, and infrastructure inspection. Drones are easy enough even for private individuals to maintain and operate and do not require expensive infrastructure, allowing for recreational use. As demand and use cases for commercial drones have increased, so too have concerns over drone safety, and we believe our safety solutions place us in a strong position to take advantage of the developing market and regulatory frameworks, which are increasingly recognizing parachute recovery systems as effective forms of risk mitigation for expanded operational approvals across an increasing number of global regions.
Our unique, patented technology enables parachute deployment on drones in a fraction of a second using an autonomous computer paired with a ballistic parachute launcher. We believe that we have created a new benchmark in drone safety with low altitude parachute deployment capabilities and high levels of reliability. Globally, our solutions have proven critical to enabling commercial drone operations in over populated areas and beyond-visual-line-of-sight, which require prior approval from aviation regulators, including the U.S., Canada, Israel, Brazil, Singapore, Australia, Ireland and the U.K., among other countries. These authorizations facilitate new business opportunities and applications for expanded drone operations worldwide, thus enhancing the value proposition of our solutions for our global customers.
The Company does not rely on licensing partners and licensees but instead relies on sale, collaboration and other arrangements with third-party service providers, vendors and development partners that purchase the Company’s products and then seek regulatory approval for the combined use of their drones with the Company’s products. The Company has no licensing agreements or arrangements with, and does not receive any royalty payments from, any parties, except for one license agreement for the out-license of software previously developed by the Company for the production of its hardware, which has generated an immaterial amount of revenue.
Our unique, patented technology for drones, the SafeAir system, is designed to protect hardware, people, and payload in the event of an in-flight failure. The SafeAir system is a smart parachute system that monitors UAS flight in real time, identifies critical failures and autonomously triggers a parachute in the event of an emergency. The system contains a flight termination system, a black box to enable post-deployment analysis, and a warning buzzer to alert people of a falling drone. In addition to being fully autonomous, the SafeAir system includes a separate remote control for manual parachute deployment capability.
We have a global distribution footprint and have forged partnerships all around the world, including India, South Korea, the United States, Latin America and Europe. We sell our drone safety systems as off-the-shelf solutions, as well as perform integrations with OEMs, offering customized, bespoke safety solutions for a large variety of aerial platforms, including multi-rotor, fixed wing, vertical take-off and landing, heavy lift, and urban air mobility. Our technology has been sold to and used by some of the world’s top companies and organizations, including drone companies such as LIFT Aircraft, Airobotics, SpeedBird Aero and Doosan Corporation and other leading and known brands and entities such as CNN, the New York Times, Hensel Phelps, Verizon Media (Skyward), Fox Television Station, the Chicago Police Department and Fortis Construction.
In February 2024, we announced our intention to enter the counter unmanned aircraft system (anti-drone), or C-UAS, market. Small, lethal drones are being utilized around the world with tremendous effectiveness and are reshaping the balance between humans and technology, especially in wars, raising the demand for C-UAS countermeasures. Counter-drone technology encompasses a wide range of solutions that allow users to detect, classify, and mitigate drones and unmanned aerial vehicles.
Many of the current C-UAS solutions offer communication jamming, or COMJAM, of radio frequencies. Drone jamming equipment is designed to block signals on operating bands and/or navigation causing drones to attempt to return to their take-off point, stop in midair or land. COMJAM is considered the first layer of drone defense. In cases where a drone is not affected by the COMJAM, a second layer of defense will take place. For the second layer of defense, there are currently different approaches, technologies, and solutions. This second layer of defense usually consists of a physical counter measure, such as shooting at the targeted drone, firing missiles and other guided munitions and other solutions aimed at physically damaging or capturing a drone in the sky. We believe that we can use our current patents and technology as a basis for the development of a second layer of defense solution that will physically stop drones in the sky in cases where the COMJAM is not effective or successful.
The current war between Russia and Ukraine and Israel’s war against terrorism demonstrate the threat of small drones on armies, strategic facilities, and critical infrastructure. According to Fortune Business Insight, the global anti-drone market size was valued at USD 1.58 billion in 2022 and is expected to grow to USD 6.95 billion by 2029, an opportunity which we seek to seize.
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Impact of the War in Israel
In October 2023, Hamas terrorists infiltrated Israel’s southern border from the Gaza Strip and conducted a series of attacks on civilian and military targets. Hamas also launched extensive rocket attacks on the Israeli population and industrial centers located along Israel’s border with the Gaza Strip and in other areas within the State of Israel. These attacks resulted in thousands of deaths and injuries. In addition, Hamas kidnapped many Israeli civilians and soldiers. Following the attack, Israel’s security cabinet declared war against Hamas and commenced a military campaign against Hamas and other terrorist organizations in parallel to their continued rocket and terror attacks. In addition, since the commencement of these events, there have been continued hostilities along Israel’s northern border with Lebanon (with the Hezbollah terror organization) and southern border (with the Houthi movement in Yemen). It is possible that hostilities with Hezbollah in Lebanon will escalate, and that other terrorist organizations, including Palestinian military organizations in the West Bank as well as other hostile countries will join the hostilities. In addition, Iran recently launched a direct attack on Israel involving hundreds of drones and missiles and has threatened to continue to attack Israel and is widely believed to be developing nuclear weapons. Iran is also believed to have a strong influence among extremist groups in the region, such as Hamas in Gaza, Hezbollah in Lebanon, the Houthi movement in Yemen and various rebel militia groups in Syria and Iraq. Such clashes may escalate in the future into a greater regional conflict. Our operations have not been adversely affected by this situation, and we have not experienced disruptions to our business operations. However, the intensity and duration of Israel’s current war against Hamas is difficult to predict at this stage, as are such war’s economic implications on our business and operations and on Israel’s economy in general.
We are closely monitoring the developments of this war. See “Item 3.D Risk Factors— Risks Related to Our Incorporation, Location and Operations in Israel– Our headquarters, research and development and other significant operations are located in Israel, and, therefore, our results may be adversely affected by political, economic and military instability in Israel including the recent war with Hamas and other terrorist organizations from the Gaza Strip.” in the Annual Report for additional information.
Operating Expenses
Our current operating expenses consist of three components — research and development expenses, sales and marketing expenses, general and administrative expenses and, in the six months ended June 30, 2023, expenses relating to our prospective initial public offering. To date, we have not generated significant revenues.
Comparison of the Six Months Ended June 30, 2024 to the Six Months Ended June 30, 2023
Results of Operations
| Six
months ended June 30, | ||||||||
| (in USD) | 2024 | 2023 | ||||||
| Sales | 282,693 | 344,819 | ||||||
| Cost of sales | 209,529 | 194,104 | ||||||
| Gross profit | 73,164 | 150,714 | ||||||
| Research and development expenses | 662,440 | 216,181 | ||||||
| Selling and marketing expenses | 516,401 | 94,339 | ||||||
| General and administrative expenses | 1,122,759 | 101,877 | ||||||
| Prospective initial public offering expenses | - | 106,754 | ||||||
| Operating Loss | 2,228,436 | 368,436 | ||||||
| Change in fair value of derivative warrant liabilities | (67,227 | ) | - | |||||
| Other financial expenses (income), net | (135,115 | ) | 64,888 | |||||
| Total Comprehensive and net Loss | 2,026,094 | 433,324 | ||||||
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Sales
Sales decreased by $62,126, or 18.0%, to $282,693 for the six months ended June 30, 2024, compared to $344,819 for the six months ended June 30, 2023. This decrease was mainly due to a longer duration of larger non-recuring engineering projects that were not completed in the reported period (of which $251,000 were completed in August 2024) compared to the previous year.
Cost of sales
Cost of sales increased by $15,425, or 7.9%, to $209,529 for the six months ended June 30, 2024, compared to $194,104 for the six months ended June 30, 2023. This increase was mainly attributed to an increase in overhead expenses aimed to increase future capacity of operations and manufacturing, offset partly by decrease of the cost of goods sold due lower revenues.
Research and Development Expenses
Our research and development, or R&D, expenses for the six months ended June 30, 2024, amounted to $662,440, an increase of $446,259, or 206.4%, compared to $216,181 for the six months ended June 30, 2023. The increase was primarily attributable to increase in the headcount of the R&D team (10 employees on June 30, 2024 compared to 3 employees on June 30, 2023), and their related overheads, the development new products and services to our customers and measures we undertook to obtain compliance with new regulations for existing and new products.
Selling and marketing expenses
Our selling and marketing expenses totaled $516,401 for the six months ended June 30, 2024, an increase of $422,062. or 447.4%, compared to $94,339 for the six months ended June 30, 2023. The increase was primarily attributable to enhancement of marketing activities, including, hire of a marketing manager, an increase in participation in trade shows and conferences, increased advertising expense and an increase in business development consulting services.
General and administrative expenses
Our general and administrative expenses totaled $1,122,759 for the six months ended June 30, 2024, an increase of $1,020,882. or 1002.1%, compared to $101,877 for the six months ended June 30, 2023. The increase was primarily attributable to an increase of approximately $522,000 in expenses related to being listed as a public company, along with an increase in professional services of approximately $311,000, and salaries increases of approximately $79,000.
Initial public offering expenses
Initial public offering expenses for the six months ended June 30, 2024 were $0, compared to $106,754 for the six months ended June 30, 2023, which is related to the IPO completed in July 2023.
Change in fair value of derivative warrant liabilities
Our profit from the change in fair value of derivative warrant liabilities as of June 30, 2024 was $67,227. As of June 30, 2023, we did not have any warrant liabilities.
Other finance expenses (income), net
Other finance income, net for the six months ended June 30, 2024, was $135,115, out of which $161,032 was interest income on short term deposits, partly offset by bank fees and other non-cash expenses of $21,818, compared to finance expenses, net of $64,888 for the six months ended June 30, 2023.
Comprehensive and net loss
Comprehensive and net loss increased by $1,592,790, or 367.6%, to $2,026,094 for the six months ended June 30, 2024, compared to a net loss of $433,324 for the six months ended June 30, 2023. The increase was mainly the result of operating loss that represents the increase in the operating activities of the Company following the completion of the initial public offering in July 2023, along with an increase in expenses related to being a listed public company.
Critical Accounting Policies and Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date(s) of the financial statements and the reported amounts of revenues and expenses during the reporting period(s). A comprehensive discussion of our critical accounting policies is disclosed in our Annual Report, as well as our unaudited condensed financial statements and the related notes thereto for the six months ended June 30, 2024, included elsewhere in this Report Form 6-K.
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Liquidity and Capital Resources.
Overview
We are in our commercialization stage and do not generate significant revenue in this stage. Therefore, we have suffered recurring losses from operations and negative cash flows from operations since inception. Our operations have been funded substantially through sales of our products and services, issuances of our equity securities in public and private offerings, including in our initial public offering in July 2023 and our private placement in October 2023, loans from related parties, SAFEs and government grants for research and development projects received from the IIA. Considering the above, management expects that it will require additional financing in the future to fund its operations until it has generated significant revenues. As of June 30, 2024, we had approximately $5,289,105 in cash and cash equivalents.
Our main expense over this period will be hiring more employees and other expenses associated with being a public company. We intend to evaluate our expenses during this period to determine whether we will need additional financing.
We expect that we will require additional capital to develop our next generation flight computer including algorithm optimization, artificial intelligence layer development and optical sensors input integration, as well as to commercialize new products. In addition, our operating plans may change as a result of many factors that may currently be unknown to us, and we may need to seek additional funds sooner than planned. Our future capital requirements will depend on many factors, including:
| ● | our ability to market and sell our products and to generate revenues; |
| ● | the progress and costs of our research and development activities; |
| ● | the costs of manufacturing our products; |
| ● | the costs of filing, prosecuting, enforcing and defending patent claims and other intellectual property rights; |
| ● | the potential costs of contracting with third parties to provide marketing and distribution services for us or for building such capacities internally; and |
| ● | the magnitude of our general and administrative expenses. |
Until we can generate significant recurring revenues and profit, we expect to satisfy our future cash needs through debt or equity financings, through the utilization of our current financial resources and sales of our products. We cannot be certain that additional funding will be available to us when needed, on acceptable terms, if at all. If funds are not available, we may be required to delay, reduce the scope of, or eliminate research or development plans for commercialization efforts with respect to our products.
The table below presents our cash flows for the periods indicated:
| Six
months ended June 30, | ||||||||
| (in USD) | 2024 | 2023 | ||||||
| Operating activities | (2,003,481 | ) | (249,184 | ) | ||||
| Investing activities | (132,969 | ) | (677 | ) | ||||
| Financing activities | - | 245,000 | ||||||
| Net increase (decrease) in cash and cash equivalents | (2,139,300 | ) | (4,861 | ) | ||||
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Operating Activities
Net cash used in operating activities of $2,003,481 during the six months ended June 30, 2024.
Net cash used in operating activities during the six months ended June 30, 2023 was $249,184.
The increase in the negative cash flow is consistent with the increase in the loss for the period compared.
Investing Activities
Net cash used in investing activities increased by $132,292 to $132,969 for the six months ended June 30, 2024, compared to $677 for six months ended June 30, 2023. With respect to the increase, $68,603 was used as a long-term restricted deposit, pledged as security in respect of guarantees granted by the bank to the Company’s landlords pursuant to the Company’s new lease agreement for its corporate offices and headquarters and $64,366 was used to purchase computers and office equipment to new recruits, and investments in leasehold improvements in the new space leased.
Financing Activities
Net cash provided by financing activities during the six months ended June 30, 2024 was 0.
Net cash provided by financing activities was $245,000 during the six months ended June 30, 2023, which consisted of a loan received from a related party.
Current Outlook
We have financed our operations to date primarily through revenues from sale of our products, proceeds from issuance of our Ordinary Shares and other equity securities, loans from related parties and grants from the Israel Innovation Authority. We have incurred losses and generated negative cash flows from operations since inception in June 2013.
While management expects that it will require additional financing in the future to fund its operations until it has generated significant revenues, we expect that our existing cash and cash equivalents as of June 30, 2024, together with anticipated revenue from existing customers pursuant to existing purchase orders, as well as projected revenue from new customers, will be sufficient to fund our current operations for at least the next 12 months.
As of June 30, 2024, our cash and cash equivalents were $5,289,105. We expect that we will require additional capital to develop our next generation flight computer including algorithm optimization, AI (artificial intelligence) layer development and sensors input integration, as well as to commercialize our new product. In addition, our operating plans may change as a result of many factors that may currently be unknown to us, and we may need to seek additional funds sooner than planned. Our future capital requirements will depend on many factors, including:
| ● | our ability to market and sell our products and to generate more significant revenues; |
| ● | the progress and costs of our research and development activities; |
| ● | the costs of manufacturing our products; |
| ● | the costs of filing, prosecuting, enforcing and defending patent claims and other intellectual property rights; |
| ● | the potential costs of contracting with third parties to provide marketing and distribution services for us or for building such capacities internally; and |
| ● | the magnitude of our general and administrative expenses. |
Until we can generate significant recurring revenues and profit, we expect to satisfy our future cash needs through debt or equity financings, through the utilization of our current financial resources and sales of our products. We cannot be certain that additional funding will be available to us when needed, on acceptable terms, if at all. If funds are not available, we may be required to delay, reduce the scope of, or eliminate research or development plans for commercialization efforts with respect to our products.
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Exhibit 99.3
ParaZero Announces First Half of 2024 Financial Results
TEL AVIV, Israel, Sept. 03, 2024 (GLOBE NEWSWIRE) -- ParaZero Technologies Ltd. (Nasdaq: PRZO) (the “company” or “ParaZero”), an aerospace company focused on drone safety systems for defense and commercial drones and urban air mobility aircraft, reported today its financial results for the six months ended June 30, 2024.
Key Highlights of ParaZero’s Achievements in the First Half of 2024 & Recent Updates:
| ● | Enhanced presence in the defense market: announced partnership with a Tier 1 defense OEM company to adapt and integrate its cutting-edge drone safety system for operational military and medical missions use. The company received the first order as part of a wider collaboration that aims to enhance the efficiency and safety of medical field mission’s deliveries, particularly in critical and remote areas. |
| ● | Entered the estimated $15 billion counter drone market: announced its intention to enter the counter drone/ anti-drone market. Following an extensive due diligence process, the company analyzed the expanding market of counter unmanned aircraft system (UAS) technologies and believes that specific elements within its unique proprietary technology portfolio, as well as the company’s ability to rapidly design, develop, and manufacture advanced UAS technologies, strongly positions the company to offer a competitive edge in defending against threats and attacks from small UAS platforms. The decision to explore these avenues also correlates to global inquiries the company has received from various entities to explore entering this market. |
| ● | Favorable regulation and regulatory achievements: received American Society for Testing and Materials F3322-22 approval following the completion of the official testing for its SafeAir Mavic 3 system. Using the company’s SafeAir system, operators of DJI Mavic 3 Series, will be eligible for an approval to fly over people and moving vehicles. In addition, the company facilitated one of its customers in obtaining the first-ever light uncrewed aircraft system operator certificate in Denmark, which was granted by the European Union Aviation Safety Agency. |
| ● | New opportunities in the growing air mobility market: announced the successful completion of an advanced safety system project for a pioneering U.S. based Advanced Air Mobility (AAM) company in the aerial vehicle industry and received a purchase order from a leading UAE-based company specializing in heavy-lift cargo drones and AAM platforms. |
| ● | Collaboration with industry leaders: achieved positive results from a drone safety project with a Fortune 500 leading automotive manufacturer for their proprietary drone program. |
“In the first half of the year, we have made remarkable progress, particularly in response to the rising significance of drones in global conflicts. This technological shift has redefined the interaction between human decision-making and advanced systems in warfare, and we are strategically positioning ourselves within this landscape. Recently, we’ve tapped into the counter-drone market and expanded in the defense market through a key partnership with a Tier 1 OEM, integrating our drone safety system for military and medical missions,” said ParaZero’s CEO, Boaz Shetzer. “We continue to increase our reach in the air mobility market and the commercial drone market with multiple collaborations, orders and new developments, supported by new regulations and the growing understanding in the industry that safety systems are crucial to allow the market to mature and realize its true potential.”
“Since the beginning of 2024, we have taken actions to expand our business strategy and focus on new market segments in both the defense and commercial sectors. We believe that this expansion enables us to reach new costumers and projects globally. We are also enhancing our marketing efforts and strengthening our marketing team. We believe that this strategy and the investments in R&D, will facilitate in winning new projects and costumers and fuel our growth,” Mr. Shetzer concluded.
First Half 2024 Financial Highlights:
| ● | Sales totaled to $282,693 for the six months ended June 30, 2024, compared to $344,819 for the six months ended June 30, 2023. This decrease was mainly due to a longer duration of larger non-recuring engineering projects that were not completed in the reported period (of which $251,000 were completed in August 2024) compared to the previous year. |
| ● | Cost of sales amounted to $209,529 for the six months ended June 30, 2024, compared to $194,104 for the six months ended June 30, 2023. This increase was mainly attributed to an increase in overhead expenses aimed to increase future capacity of operations and manufacturing. |
| ● | Research and development expenses for the six months ended June 30, 2024, amounted to $662,440, compared to $216,181 for the six months ended June 30, 2023. The increase was primarily attributable to increase in the headcount of the R&D team, the development of new products and services for customers and measures that the Company undertook to obtain compliance with new regulations for existing and new products. |
| ● | Selling and marketing expenses totaled $516,401 for the six months ended June 30, 2024, compared to $94,339 for the six months ended June 30, 2023. The increase was primarily attributable to enhancement of marketing activities. |
| ● | General and administrative expenses totaled $1,122,759 for the six months ended June 30, 2024, compared to $101,877 for the six months ended June 30, 2023. The increase was primarily attributable to an increase expenses related to being listed as a public company, along with an increase in professional services and salaries. |
| ● | Comprehensive and net loss amounted to $2,026,094 for the six months ended June 30, 2024, compared to a net loss of $433,324 for the six months ended June 30, 2023. The increase was mainly the result of the operating loss that represents the increase in the Company’s operating activities following the completion of its initial public offering in July 2023, along with an increase in expenses related to being a listed public company. |
| ● | The loss per share in the first six months of 2024 was $0.19 compared to net loss per share of $0.17 in the same period of 2023. |
| ● | As of June 30, 2024, the Company’s cash and cash equivalents were $5,289,105. |
About ParaZero Technologies
ParaZero (Nasdaq: PRZO) is an aerospace company focused on drone safety systems for defense and commercial drones and urban air mobility aircraft. Started in 2014 by a passionate group of aviation professionals and drone industry veterans, ParaZero designs smart, autonomous parachute safety systems designed to enable safe flight operations over populated areas and beyond-visual-line-of-sight (BVLOS) as well as for various military applications including Counter UAS. For more information about ParaZero, please visit https://parazero.com/
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Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act and other securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, ParaZero is using forward-looking statements when it discusses how it strategically positioning itself within the landscape of the rising significance of drones in global conflicts and the redefined the interaction between human decision-making and advanced systems in warfare, how it continues to increase its reach in the air mobility market and the commercial drone market with multiple collaborations, orders and new developments, supported by new regulations and the growing understanding in the industry that safety systems are crucial to allow the market to mature and realize its true potential, its belief that the expansion of its business strategy and focus on new market segments in both the defense and commercial sectors enables it to reach new costumers and projects globally and its belief that its enhanced marketing efforts, strengthened marketing team and investments in R&D will facilitate in winning new projects and costumers and fuel its growth. Forward-looking statements are not historical facts, and are based upon management’s current expectations, beliefs and projections, many of which, by their nature, are inherently uncertain. Such expectations, beliefs and projections are expressed in good faith. However, there can be no assurance that management’s expectations, beliefs and projections will be achieved, and actual results may differ materially from what is expressed in or indicated by the forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the forward-looking statements. For a more detailed description of the risks and uncertainties affecting the Company, reference is made to the Company’s reports filed from time to time with the Securities and Exchange Commission (“SEC”), including, but not limited to, the risks detailed in the Company’s Annual Report on Form 20-F filed with the SEC on March 21, 2024. Forward-looking statements speak only as of the date the statements are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events or circumstances, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. ParaZero is not responsible for the content of third-party websites.
Investor Relations Contact:
Michal Efraty
Investor Relations
michal@efraty.com
ParaZero Technologies
Ltd. | 30 Dov Hoz, Kiryat Ono, Israel 5555626
P: +972-36885252 | E: contact@parazero.com | F: +972-3-688-5246
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